Performance Outcomes of Responsiveness: When Should Supply Chains Be Fast?

43 Pages Posted: 14 Jun 2017

See all articles by Christian von Falkenhausen

Christian von Falkenhausen

University of Mannheim

Moritz Fleischmann

University of Mannheim, Business School

Christoph Bode

University of Mannheim - Business School

Date Written: June 6, 2017

Abstract

Responsiveness is considered a “basis of competition” attribute of supply chain performance (APICS 2016). Nonetheless, there remains ambiguity under which conditions a supply chain that is fast enough to fulfill customers’ lead time requirements constitutes competitive advantage. We examine the benefits and costs associated with supply chain responsiveness using secondary data from a leading chemicals manufacturer. Our results indicate that responsiveness can improve financial performance in two distinct ways: either by matching supply and demand or by decreasing supply-chain-related costs depending on the characteristics of the products that are being sold. Based on these findings, this study advances well-known frameworks in supply chain strategy (Fisher’s framework) and performance management (SCOR model).

Keywords: Supply Chain Strategy, Performance Management, Multilevel Model, Responsiveness

Suggested Citation

von Falkenhausen, Christian and Fleischmann, Moritz and Bode, Christoph, Performance Outcomes of Responsiveness: When Should Supply Chains Be Fast? (June 6, 2017). Available at SSRN: https://ssrn.com/abstract=2985445 or http://dx.doi.org/10.2139/ssrn.2985445

Christian Von Falkenhausen (Contact Author)

University of Mannheim ( email )

University of Mannheim
P.O. Box 10 34 62
Mannheim, Baden-Württemberg 68131
Germany

HOME PAGE: http://https://logistics.bwl.uni-mannheim.de/home

Moritz Fleischmann

University of Mannheim, Business School ( email )

University of Mannheim
P.O. Box 10 34 62
Mannheim, 68131
Germany

Christoph Bode

University of Mannheim - Business School ( email )

L5, 5
Mannheim, 68131
Germany
+49 621 181 1659 (Phone)
+49 621 181 1653 (Fax)

HOME PAGE: http://procurement.bwl.uni-mannheim.de

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